PAS 20 - SCOPE It applies to all government grants and...

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PAS 20 Government Grants and Government Assistance SCOPE It applies to all government grants and other forms of government assistance. The benefit of a government loan at a below-market rate of interest is treated as a government grant. However, it does not cover government assistance that is: provided in the form of benefits in determining taxable income does not cover government grants covered by IAS 41 Agriculture RECOGNITION and MEASUREMENT A government grant is recognized only when there is reasonable assurance that: a. The entity will comply with any conditions attached to the grant. b. The grant will be received. Non-monetary grants, such as land or other resources, are usually accounted for at fair value , although recording both the asset and the grant at a nominal amount is also permitted . CLASSIFICATION OF GOVERNMENT GRANT A. Grant related to asset Whose primary condition is that an entity shall purchase, construct or acquire long- term asset.
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  • Summer '15
  • Mr.Leyson
  • Government, Generally Accepted Accounting Principles, a. Grant

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